Practical analysis for investment professionals

Philosophy


Active vs. Passive Revisited: Six Observations

Does it make sense to reframe the active vs. passive debate? Perhaps the question — active or passive? — is not the right one to ask.

Rethinking Retirement Planning Outcome Metrics

Retirement, like life, is fundamentally uncertain. That's why we need to provide clients with more context about what missing their retirement-income goals might look like.

The Active Management Delusion: Respect the Wisdom of the Crowd

"Neither the Financial Analysts as a whole nor the investment funds as a whole can expect to ‘beat the market,’ because in a significant sense they (or you) are the market."

Debunking the Myth of Market Efficiency

Market complexity transcends disciplines and cannot be entirely modeled out.

Is Rising Income Inequality the 40-Year Bull Market’s Hidden Driver?

While traditional finance’s equity performance models still work, there is an alternative explanation for the long-running secular bull market.

ChatGPT and the Future of Investment Management

So, do we human advisers and analysts stand any chance in the post-ChatGPT world?

Agency Capitalism in Private Markets: Who Watches the Agents?

With the PE model’s high profitability, the industry’s ultimate development stage will inevitably feature leveraged buyouts of the fund managers themselves,

Equity and Bond Correlations: Higher Than Assumed?

What correlations should we trust? Those based on daily or monthly return data?

The Debt Ceiling: A Nation Divided and Indebted Cannot Stand

The current debt ceiling debate reveals a painful reality that the United States must confront.